Evening Star Newspaper, February 12, 1930, Page 11

FINANCIAL. LOANS ON REAL ESTATE We have avalisble funds av cur- B bl 8 ERATION FOR BORROWERS. Both farge and small loans negotiated. MOORE & HILL, Inc. Since 1900 = 730 17th Street ‘Neighbors Home s He witha GAS Furnace- - HOW ABOUT YOURS ? Complete Installa- tion During This Month in 12 Hours' Time No Delay or Discomfort Terms to Suit Youl Phone or Write Washington Gas Light Co. Houte Heating Division . National 8280 .3 Contact with the Center of Financial New York Our direct communication fa- cilities by wire with our main effice in the center of financial New York provide a ready means for the rapid transaction of New York banking business. TEE EQUITABLE SECURITIES COMPANY INc A Subsidiary of The Equitable ‘Trust Company of New York STANLY CARR, Representative 922 Fifteenth Street, N. W, ‘WASHINGTON, D. C. The Commercial National Bank Savings Deposits Bear Interest on Daily Balances for Day of Deposit to Day of Withdrawal. Compare this method with usual method of computation. Call and let us explain. Other Departments are equipped to serve you in all ing and fiduciary matters. The Bank of Personal Service 14th & G Sts. N.W. Resources Over $20,000,000 COOPER, President ‘We Invite Applications for FIRST TRUST LOANS on Improved Property in NEARBY MONTGOMERY CO. AND THE DISTRICT OF COLUMBIA Periods of 3, 5 or 10 Years BossmrHELPS Founded 1907 an Correspondent Lo: John" Hancock Mutual Life Insurance Co. 1417 K St National 9300 If You Can’t Afford to Take a Chance UARANTY First Mortgage Bonds are for those who cannot gamble their investments. Not only are these Bonds secured on improved Washington Real Estate but they are further protected by our resources of Guaranty First Mortgage Bonds Are Issued to Yield 6'2% Available in denomina- tions as low as $250 Monthly Payments if Desired Send for Booklet “The Success Plan” - REALESTATE MoRTGAGE & G " CORPORATION Capital Resources $3,900,000 24 JACKSON PLACE TEELWEEEEEEEEEY increase of $10,713,099, INTEREST RATES T0 REMAIN LOW David Friday Sees Further Easing of Money Unless Re- serve Policy Changes. BY EDWARD C. STONE. Unless Federal Reserve Banks restrict the volume of credit, indications point to commercial interest rates as easy, if not easier than those prevailing; to a reviving bond mar- ket and to cessa- tion of the gold e port movement. Dr. David Friday, eco- nomist, says in the current issue of the Bankers' Mag- azine. He sees lit-. tle likelihood that Reserve official will change from their present easy money Friday sa; “Federal Reserve rediscount rates are hardly likely to rise above 414 cent. fall level. (Rates in two centers have W. W. Spaid, fallen to 4 per cent since the article was written.—Ed.) With a reserve ratio of 76 per cent, it would require some very special situation to move the banks to raise the rate. Business is now in a state of recession, and in that situation it is the proper desire and function of & central bank to lower rediscount rates and not raise them. It is reasonable to suppose that the reserve banks will do just that. “The one development which might lead to a retention of the present re- discount rate or to an increase in it would be the resumption of gold ex- ports on a large scale, No such move- ment appears likely. ‘At the beginning of this year, for- elgn countries are less in need of gold than they were 12 months ago. Cer- tainly the $200,000,000 of new monetary gold, which will be produced during to meet any It is likely that fourth of that new gold.” Commenting on the outlook for bond prices, Dr. Friday points out that open market Federal Reserve policy in re- spect to bond holdings has had a large influence on bond prices in the past, notably prior to the stock market break when the Reserve banks helped depress bond prices by selling bonds heavily. W. W. Spaid Entertainment Chairman. W. W. Spaid of W. B. Hibbs & Co. and a former president of the District of Columbia Bankers’ Association, has been named chairman of the enter- tainment committee for the annual convention of the local bankers’ organ- ization which will be held at Asheville, N. C, in June. Announcement of his selection for the task of providing lighter features of the yearly gathering was made yester- day by President Wilmer J. Waller. Mr. Spaid is a graduate of Washing- ton Chapter, American Institute of Banking, of which he later became president; former president of the Du- pont National Bank, and for years an outstanding figure in the financial life of the city as a member of the Hibbs firm. He consistently has devoted his energies to til‘u interests of the bank- ers’ organization. He Tl member of the council of ad- ministration and has served on practic- ally all important committees of the association, having already served once as chairman of the entertainment com- mittee. “ Wide Interest in Meeting. The dinner meeting of the District of Columbia Life Underwriters Associa- tion tomorrow evening in the main ball room of the National Press Club, promises to be one of the most large] attended affairs ever given by the local organization. ‘Walter E. Roberts, of the Equitable Trust Co. of New York, will speak on the important subject, “Life Insurance ‘Trusts.” President Harold D. Krafft, of the association, will preside. There will be over 100 members and guests present, including many bankers. Gleaned in Financial District. ‘The Washington Stock Exchange paid tribute to the memory of Lincoln today and remained closed. All the local brokerage houses were also closed, as the New York Stock Exchange was also closed. Frank T. Koons has been appointed general agent of the Berkshire Life Insurance Co. in Washington, succeed- ing the late Thomas A. Weedon. He has been associated with the local of- fice for the past seven years, ‘The American Stores Co., which has a large number of stores in Washing- ton, has declared the regular quarterly dividend of 50 cents, payable April 1 to stock of record March 15. ‘The fiduciaries section of the District Bankers’' Association meets at 5:30 this afternoon at the City Club, a dinner and general discussion of fiduclary matters to follow. > ‘The board of governors of Washington Chapter, American Institute of Bank- ing, met last night and disposed of routine matters. = Banquet plans are progressing smoothly. President W. J. Waller of the District Bankers’ Association is turning his at- tention to deciding upon a subject for the essay contest in which the three leading institute students are rewarded with a trip to the bankers’ convention. Norman E. Towson, assistant treas- urer and manager of the foreign de- partment of the Washington Loan & Trust Co., is on a business trip to Philadelphia. How Pennsy Will Use Funds. ‘W. W. Atterbury, 'president of the Pennsylvania Railroad Co., states that if the stockholders authorize increase of $170,000,000 in stock, the new stock can be issued thereafter at such times, in such amounts and at such prices at not less than par, and for such im- provements and extensions of road and equipment and for such other capital purposes as the board of directors may order, DAIRY PRODUCTS-PHENIX MERGER REPORT REVIVED Special Dispatch to The Btar. NEW YORK, February 12.—No con- firmation is available so far of the report of a merger of National Dairy Products and Kraft Phenix Cheese Co.’s. The situation in regard to the latter, has complications in that control of the stock is held in several investment trusts. All of these trusts are con- trolled by the Reynolds and Barney interests. They have expected to de- velop the Kraft Co, and to realize a substantial profit on their original in- vestment. It is thought unlikely that they would exchange on an even basis for National Dairy Products stock, which has this week been up to 52. A merger of these two properties, how- ever, would be more logical than that previously suggested with other so- called food companies. ATLANTIC LIFE INSURANCE. RICHMOND, Febru 12 (Special) — In a statement to stockholders, the At- lantic Life Insurance Co. reports for 1929 a big increase in operations. Highlights of the year's operations are: Total income, $6,161,533, an in- crease of $293,257. Tofal payments to | policyholders, $3,194,274, an increase of $435,440. Admitted assets, $22,188,506, an increase of $1,397,735. Paid-for busi- " ness, $31,039,171, an increase of $5,2 260, $168,134,567, an THE EVENING STAR, WASHINGTON, D. C, WEDNESDAY, FEBRUARY 12, 1930. STOCK AND BOND By the Asst M:.\RKET AVERAGES From Yesterday's Industrials. 182.1 ‘Three years ago, weekly aver High (1930). Low (1930). Totals sales, 3,321,710 shares. * New highs, (Copyright, 1930, St; EGG PRIGES FIRM AT CENTER MARKET Increased Receipts Reported Today—Beef Prices Also Remain Steady. Increased receipts of eggs reported by dealers this morning were not of quan~ titles sufficient to affect the market prices. Hennery stock continued at 43 to 45 cents, current receipts reported at 42 and 43 cents. Norfolk shippers were called upon for supplies for the local market and they readily responded. Other sup- lies came from the Shenandoah Val- ey and other sections of Virginia, Maryland shippers and haulers also contributing to receipts. One dealer received 275 cases of eggs from Virginia, some coming from the Shenandoah Valley and some from the Norfolk section. He termed his trading as a lucky break. A slight advance in the price of tur- keys was reported, while price of chickens continued at what dealers termed cheap. Heavy receipts of chick- ens were reported this morning, ship- pers also sending quantities of ducl and a few turkeys. Prices Remain Unchanged. Meat and butter prices this morning remained unchanged, products not moving particularly fast. Commission merchants had their ac- customed attractive displays of fruits and vegetables to offer retailers, veget- ables being particularly plentiful and cheaper. “Mexican shippers are sending from 50 to 60 carloads of peas to the United States daily,” was information imparted in the wholesale district this morning. California shipments have decreased lately, -cmr:.ng w‘nmm, wt’:lll)? only express packages of the vegetable are heglg received from Florida. Lima beans also were plentiful and cheaper, supplies coming from Cuba, Texas and Florida. Beets, bunched, from Texas, were quoted this morning at $3.50, some few selling a trifle lower, while the clip- tops were offered at $2.50 a bushel. Carrots, also a Texas product, were more plentiful at $2.50 and $3 a crate. Larger Lettuce Receipts. Increased receipts of California Jet- tuce, Iceberg type, 75 heads to the crate, were offered at $2 and $2.25. Dealers also had plentiful supplies of green vegetables from the Norfolk, Va., section and Texas, kale and spinach selling at prices lower than prices quoted last week. Strawberries were received in fairly large quantities this morning, being of splendid quality and lower in price. The best of the receipts were offered at 40 and 45 cents, some not so good at slightly lower prices. Alligator pears continued to attract attention of retailers. Some, received in a ripened condition, demanding im- mediate sale, sold as low as $7.50, oth- ers not so ripe selling around $10 a box. Other fruits to claim the attention of retailers included pineapples, rhubarb, cranberries, oranges, grapefruit, lemons and bananas. Receipts of oranges and grapefruit were reported fairly heavy, ‘Today’s Wholesale Prices. Jobbers’ Prices Slightly Higher. Butter—One-pound prints, 39a40%; tub, 3714a38%%; store packed, 25a30. Eggs—Hennery, 43a45; current re- ceipts, 42a43. Poultry, alive—Turkeys, young, 33a35; old, 27a28; Spring chickens, large, 28a30; medium, 28a30; broilers, 30a3: Leghorns, 28; fowls, 25; roosters, ducks, 15a20. Dressed—Turkeys, young, 38a40; old, 32a33; Spring chickens, 35 a37; broilers, 35a36; Leghorns, 32; fowls, 28; capons, 35a40; roosters, 22a 23; ducks, 28a30; keats, 50a60. Meats, fresh killed—Beef, lamb, 23a25; veal, 28; pork loins, 2! fresh hams, fresh shoulders, 2 smoked hams, 25a27; smoked shouldes 22; bacon, 25a26; lard, in bulk, 12% in ‘packages, 13'%. Live stock—Calves, 16; lambs, 13. The term “net income” means gross income less the deductions allowed un- der the statute. Such deductions include business and professional ex- penses, pensions to employes, taxes, losses, interest paid, bad debts, deprecia~ tion, depletion, contributions, etc. Having arrived at the net income, the next step is to deduct the personal exemption—$3,500 for married persons living together and heads of families, or $1,500 for a single person, plus the| $400 credit for each aependant, etc. The normal tax is computed on the re- mairder at the rate of one-half of 1 per cent on the first $4,000, 2 per cent on the next $4,000 and 4 per cent on the balance. Failure to understand the distinction between deductions against income and credits against net fcome Thas resulted in numerous errors | on the part of taxpayers. Business expenses form a large item in the return of many taxpayers. Typl- cal business expenses of a mercantile establishment are amounts paid for ad- vertising, hire of clerks and other em- ployes, rent, light, heat, water, tele- phone, property insurance and delivery expenses. The expenses of a manufac- turing business include labor, raw ma- terials, supplies, repairs, light and heat, power, selling cost, administration and other similar charges. A professional man, such as a law- yer, doctor, architect, dentist, etc., may deduct the cost of supplies used in his practice, expenses paid in the operation and repair of an automobile used in making professional calls, dues to pro- fessional societies, subscriptions to pro- fessional journals, office rent, cost of light, fuel, water, telephone used in his office and hire of office assistants. Directors of the American Woolen Co. have voted to retire $500,000 prin- cipal amount of Shawsheen Mills (a ubsidiary) 7 per cent notes of October, 931. The COI!‘Ig:BY now has retired $1,000,000 of original $5,500,000 90 Total. 185.2¢ 183.6 182.7 198.4 138.5 107.8 1852 BONDS. 10 Industrials. 93, 9,260,000, ) HOLDING COMPANY PROFITS BY FEES Example of A. T. & T. Cited to Show Method of Raising Revenue. BY JOHN F. SINCLAIR. Special Dispatch to The Star. NEW YORK, February 12.—The American Telephone & Telegraph Co. is the daddy of more than twoscore subsidiary operating companies. Five years ago the A, T. & T. charged & management fee of 4!2 per cent of the gross revenue for its various serv- ices, which included law, engineering, financial accounting, scientific researc and the use of telephone instruments. But the different public service com- missions objected to the charge as ex- cessive. 8o the parent company has reduced the fee in five years' from 4'2 per cent to 11, per cent. Some State commissions still object to the present fee as excessive. This percentage is on the gross busi- ness. If $100,000,000 is received by the telephone company the parent com- pany gets $1,500,000 for its services during the year. These mlmgement fees help to make the American Telephone & Tel- egraph Co., which is the real company interested in rate cases, powerful, p: perous and rich, but its operating col panies, such as the New York Tele- phone Co., plead for higher rates be- cause of poverty. This is not an unusual situation in the public utility fleld. It's a cus- tomary proceeding with most holding companies., Holland is adding 7 per cent more to its total national area by reclaim- ing the rich Zuider Zee land of 550,000 acres, upon which it éxdpecu to vide an ample livelih for another 500,000 people. It was Simon Stevin, famous mathe- matician, who first suggested the rec- lamation of the Zuider Zee. Two hun- dred years went by before anything was done. Then, after the World War, the Netherlands Parliament voted to begin on the plan worked out by Dr. Cornelius Lely, drawn up more than 30 years ago. Five years ago the work began. A massive dike 19 miles long, the longest ever conceived, to be constructed. Thousands of citizens of Holland have been at work for years on the am- bitious project which will cost about $100,000,000. It’s not the size of the country, but the ability to make great dreams come true that counts, not only with individ- uals, but with nations. Amsterdam has long been the dia- mond-cutting center of the world, with its 300 firms employing about 7,000 skilled cutters. Since November conditions there have been quiet. The big diamond orders from the United States began falling off then and Amsterdam workers felt the decline immediately. In December working hours in the factories there were cut one-half, with the diamond cutters in other cities, Antwerp par- ticular]y, following suit. Unemployment on a large scale has resulted. ‘The Amsterdamsche Bank, reporting the situation, says that during the past 50 years a depression in the dia- mond-cutting industry has occurred “almost with mathematical regularity” every seven years. The American market is believed to absorb more diamonds than all of the rest of the world together. So every rise in the New York Stock Market is front page news in Amsterdam. Already the United States Govern- ment has spent $1,520,000 on a helium plant at Amarillo, Tex. An additional expenditure of $486,000 has been au- thorized. When completed, the cost will exceed $2,000,000. But for some reason, so far not dis- closed, the Navy Department has de- cided to buy its hellum from a private company at $35 a thousand cubic feet instead of from the United States Bu- reau of Mines, which is operating the Amarillo plant, for $12 a thousand. As shut down. But Representative Harry Englebright of California is curious. He wants to know why it isn't wiser for the Gov- ernment to buy helium at $12 than for $35, and thus keep its $2,000,000 plant in_operation. Lots of other people would like to know, too! Europeans are constantly talking about the Americans as being commer- clally-minded. They admire their big heartedness, their youth, their heroism, their courage, but say with a shrug of the shoulders, “But so commercial.” Most Europeans think money is the ruling passion of America, with every activity of American business directed to that end. Owen Young, chairman of the Gen- eral Electric, a frequent visitor to Eu- rope, as well as other parts of the world, made this statement recently: “By and large, I think the American business man cares less for money than :he business man of any other coun- ry.” My personal observation, covering 32 countries, confirms this opinion. (Copyright, 1930, by North American News- paper Alliance.) W. B. & A. REPORT. BALTIMORE, February 12 (Special). —The Washington, Baltimore and An- napolis Electric Railroad and subsidi- aries experienced another unprofitable year in 1929, according to the annual report just issued. There was a deficit of $201.409. This compared with a defi- cit in 1928 of $57,329 and a surplus of $16,638 in 1927, Operating revenue for 1929 was $2,- 537,511, an increase of $49,275, com- pared with the previous year. Operating expenses, including depreciation, amounted to $2,019.485, a comparative increase of $155461. Net operating revenue was $518,026, a decrease of $106,185. Taxes called for $8,617 more than they did in 1928, total of that item being $139,888, leaving operating income of $378,138, a decrease of $114,- 802. Non-operating income was $5911, a decline of $5,098, making gross in- come $384,050, & drop of $119,900. Interest on bonds and miscellane- ous deductions amounted to $585,459, a decrease of $24,130, leaving a deficit of $201,409. Net deductions from surplus were $45,933, leaving surplus at the end of the year of $345,243. a result, the Amarillo plant has been | . &P. TELEPHONE T0 EXTEND LINES Maryland Company to Spend $8,245,000 on Additions During Year. Speclal Distpatch to The Star, BALTIMORE, February 12.—The Chesapeake & Potomac Telephone Co. will expend $8,245,000 on additions and betterments to the telephone system in Maryland during the current year, the report read at the stockholders’ an- nual meeting here yesterday disclosed. Net additions cail for $4,660,000. Over the next five years the company esti- mates gross expenditures for additions and improvements to the plant will amount to $35,100,000, of ngch $17,- 300,000 will represent net additions. R. Howard Bland was elected a di- rector. Directors re-elected were Charles H. Carter, Phillips Lee Goldsborough and Henry M. Warfield, Baltimore; Lloyd B. Wilson, Philip O. Coffin, Mar- shal D. Sedam, Deruelle S. Porter, ‘Washington, and Walter S. Gifford and Eugene S. Wilson, New York. Officers of the company re-elected were Lloyd B. Wilson, president; Mar- shal D. Sedam, Philip O. Coffin, John C. Koons and Burdett Stryker, vice presidents; Deruelle S. Porter, secretary; Thomas B. Clarkson, treasurer, and Do- zier A, DeVane, general counsel. Mr. Bland, the newly-elected director, is president of the United States Fidel- ity & Guaranty Co. It is estimated that the company will operate about 255,000 telephones by the end of 1934, On December 31 there were 207,998 telephones operating from 130 central offices in the State. There was an increase of 9,572 telephones and two central offices. —_— The Greyhound Corporation, operator of a number of bus lines, reported that the gross revenue for passengers on its lines between Chicago and New York last year totaled $407,517, com- pared with $325,643 in 1928. MARKETS CLOSED FORU. 5. HOLIDAY | Stocks Pointing Upward as Trading Suspends on New York Exchange. By the Assoclated Press. NEW YORK, February 12.—The New York St6ck Exchange, Curb Exchange, securities market of the New York Produce Exchange and all other lead: security and commodity markets l:: banks of the country were closed today in observance of Lincoln’s birthday. ‘The market closed irregularly higher yesterday, most of the leading indus- trials and public utilities pointing up- ward, while several of the high-class rails lost ground. Trading was only moderately heavy in volume, the day’s sales running below 3,500,000 shares. Heavy buying of the rubber shares, based largely on merger rumors, carried Goodyear up more than 9 points to 833%, but it eased to 827 at the close. Good- rich showed a net gain of 4% points and U. S. Rubber Co. 2%. The Eaton interests of Cleveland, through their Continental Shares Corporation, are re- ported to be large holders of all three issues. Public utilities were again turned over in large volume at advancing prices, American Water Works closed nearly 6 points higher and Standard Gas & Electric, Consolidated Gas, Engineers Public Service, North American Co., American Power & Light, Columbla Gas and Public Service of New Jersey all closed 2 to 3 points higher. U. S. Steel common closed 2 points higher at 18315, after having sold nearly a point ahove that figure, NEW STEEL COMPANY. NEW YORK, February 12 (#).—A new company, known as the Associated Al- loy Steel Co., to produce that heat and corrosion resisting steels, has been formed by the Timken Roller Bearing Co., Sharon Steel Hoop Co. and the . ABRAHAM LINCOLN SAID We Recommend First Mortgage N otes HANNON 1435 K St. one of the first and highest virtues. money. saved, it should be safely and profitably invested for income. There is where the service of investment house can be of value. 6%:% Ludlum Steel Co. That is “Teach Economy. It begins with saving But after money is resourceful and competent & LUCH Nat. 2345 FINANCIAL. SAFE Over a Third of a Century Without a Loss National 2100 " THERE FIRST MORTGAGES BOTH SAFE AND STABLE Perhaps the strongest rec- ommendation for investment in our 6% % FIRST MORTGAGES lies in their dual virtue of pro- tection through income-pro- ducing real estate and the knowledge that during the en- tire period the income derived is definitely fixed, in addition to being generous. May be purchased in amounts from $250 up. B. F. SAUL CO. 925 15th St. N.W. IS NO SUBSTITUTE FOR SAFETY WHEN you borrow on Real Estate you want the best plan available. The loan experts of the Metropolitan Life Insurance Com- pany have made a careful study of ‘Real Estate loan plans in the United States, and have evolved a plan suitable to your needs. We invite applications for loans on property in the District of Coe lumbia and nearby Maryland and Virginia. Long Term Low Interest. Rates ‘NEAVE BRO! REK‘?\"ORS S 809 15th St. N.W. Mortgage Loan Corr it District 9486 Metropolitan Life Insurance Company NEW ISSUE BUSINESS: twenty years ago. year each. January, April, June and September. PURPOSE OF ISSUE: stores now operimhd for other general corporate purposes. MANAGEMENT; The business is in the hands of a capable Board of Directors composed of practical druggists and chain —_— Herbert W. Poole is President and General Manager. Dr. Poole, who is a graduate pharmacist holding the degree of Doctor of Pharmacy, has been in the business for over twenty-nine years, and it has been due to his efforts, ability and consistent energy that he has been able to build up the present chain of stores, which undoubtedly will be a nucleus for a large and profitable organization. OFFERING:; Subject to allotment and prior sale, with the right reserved to reject any subscription in whole or in part, we } $25.00' per UNIT 7,500 Urnits (A Delaware Corporation) 15,000 shares 79, Cumulative Preferred Stock 7,500 shares Common Stock, Class A (Offered in units of two shares of preferred stock and one of common) The preferred stock is preferred as to assets and dividends. It has a 7% cumulative requirement, dividends to be paid quarterly, in It is redeemable by the corporation at Ten Dollars ($10) per share and accumulated dividends in whole or in part on any interest date. The Class A Common stock has no par value, is voting, one vote for each share, and is entitled to a dividend of Seventy Cents (70c) after the preferred dividends have been paid, and before any dividends are pald on the Class B Common stock. After a dividend of Seventy Cents (70c) has been paid on the Class B Common stock, the Class A Common stock will share equally with the Class B Common. Class B Common has no par value, is voting, one vote for each share, and is entitled to Seventy Cents (70c) dividend after the preferred stock has received Seven Per Cent (7%), and after tlte Class A Common has received Seventy Cents (70c), AMERICAN DRUG STORES, Inc. after which dividends will be equal on the Class A and Class B Common stock. Chain Stores is the application of the oldest principle of successful merchandising. stores in affiliation wl&)n central organization, which maintains highly specialized departments, working in harmony with each other in order that the store may render to its customers and community greater service than it could individually supply. necessitate any change in its affillated store. Each store in the group, its stockholders, the community it serves and the individual patron, are the beneficiaries of such a service. One of the most important considerations is the fact that the independent retailer cannot approach the buying power of the big chain; goods are bought direct from the big manufacturer at prices that the ordinary jobber could not demand. ‘The modern Chain Drug Store is something more than a place to buy health aids or a convenience in time of accident or emer- gency; many wants are supplied by it when on;:r mercantile establishment open and ready to serve eighteen hours a day—seven days a week. other forms of retail business is working only six days a week—ten hours a day—whereas an investment in American Drug Stores, Inc., is working for you day and night—every day in the year, Sundays and legal holidays included. stores are closed. ‘The American Drug Stores, Inc., a Delaware Corporation, was organized for the purpose of owning and operating a chain of drug stores, with headquarters in Washington, D. C,, and stores in nearby States. The corporation now owns and operates four stores. All of the stores have a record of successful operation, the first store having been opened more than Chain Stores is the operation of a number of It does not Its merchandise covers a large field, and, moreover, it is the only AUTHORIZED CAPITALIZATION: ;% Cumulative Preferred Stock, par value §10 Class A, common stock, no par value—shares Class B, common stock, no par value—shares ESTIMATED EARNINGS: The earnings of the four stores now in operation are estimated at $25,000 per year. This In other words, stockhol lders’ money in .$500,000 25,000 estimate is based upon the actual earnings of the four stores now operating, all of which have been making money since the first month each opened. At the completion of this financing it is estimated that the corporation will have ten stores operating which will earn $7,200 per Ten Stores—@ $7,200 ... © $300,000 Preferred—7%. .. store men, as well as bankers and business men. offer, when, as and if issued. UNITS { Two Shares Preferred Stock One Share Common Stock, Class A ‘The proceeds of these shares will be used in part for the purchase of drug stores now in operation and/or drug stores to be opened and/or extensions, . $72,000 21,000 . §51,000 betterments and improvements of the drug All legal procsedings in ennneeuun_" Jith this ssue are under suvervision and s to the approval of fohn ~ G. American Drug Stores, Dudley, HERBERT W. POOLE, President 1336 Wisconsin Ave. The information and figures u: ised fn this circular are taken from sources that we consider Washington, . C. Inc. Telephone West 0844 Washington, D. C. trustworthy and although not guarante:d have been accepfed by us as correct.